Number: RS21076 Title: The Economic Effects of Spending on Homeland Security Authors: Brian W. Cashell, Government and Finance Division Abstract: One direct result of the terrorist attacks of September 11 is that the cost of domestic security has risen. That increased cost is likely to be in the form of increased outlays on the military, as well as increases in spending for domestic law enforcement, public safety, and private security services. Some industries, such as the airlines, will be more affected than others but there will be nationwide effects because domestic security is a public good and much of the increased cost will likely be borne by taxpayers. Pages: 3 Date: Updated November 27, 2001